Telework allowance increases to €160.99 from March 2026

As of 1 March 2026, the maximum lump-sum telework allowance increases to €160.99 per month. This allowance allows employers to reimburse certain costs incurred by employees who perform their work from home.

Good news for both employers and employees: when the conditions are met, this allowance is exempt from income tax and social security contributions.

An allowance to cover home office expenses

The lump-sum allowance is intended to cover expenses that an employer would normally incur if the employee were working on the company’s premises.

It notably includes:

• the use of a home office workspace (including housing-related costs)
• IT and printing supplies (paper, ink, USB drives, etc.)
• office supplies (notebooks, pens, etc.)
• basic utilities such as electricity, heating and water
• maintenance and insurance costs
• consumables such as coffee, water or refreshments
• part of the housing-related charges, such as property tax

The allowance may be lower than the €160.99 ceiling if the employer wishes.

However, if a higher amount is paid, the employer must be able to prove that it corresponds to actual expenses. Otherwise, the excess amount will be considered salary, subject to social security contributions and withholding tax.

“Structural and regular” telework: a key condition

To benefit from this tax-exempt allowance, the employee must perform structural and regular telework.

In practice, the authorities consider this condition to be met when the employee works on average the equivalent of one working day per week from home.

This can take several forms:

• one full day of telework per week
• several hours spread over different days
• or one full week of telework per month

On the other hand, occasional or sporadic telework does not allow the employer to grant the lump-sum allowance.

For example, an employee who works only three hours per week from home will generally not be considered a structural teleworker.

Annual leave does not affect the allowance

An employee’s annual leave does not affect the payment of the telework allowance.

Employers may therefore continue paying the lump-sum allowance during vacation periods.

Internet and IT equipment: a separate regime

Certain telework-related allowances may be granted even if the structural telework condition is not met.

This is notably the case for:

• the use of the employee’s private internet connection
• the use of a personal computer
• the use of a second screen or personal printer

In some cases, a lump-sum allowance of €20 per month may be granted for the use of a private internet subscription.

Be careful with private use of equipment

Employers may also provide office or IT equipment to employees without this being considered a taxable benefit, provided the equipment is necessary for the performance of their work.

However, if the equipment is provided mainly for private use, it will be considered a benefit in kind, subject to social security contributions and taxation.